Companies /Communication Services

Meta Platforms Inc - Class A

NASDAQ: META Internet Content & Information
$648.03
▲ $3.65 (+0.57%) today
Markets closed · 6:12pm ET

Q1 2025 Earnings

Reported Apr 30, 2025, 4:16pm ET · SEC source
$6.43
Beat +23.11%
EPS · est. $5.22
$42.3B
Beat +2.30%
Revenue · est. $41.4B
+9.8%
Beating market
META vs S&P since report
1 quarter
Consecutive EPS misses

Market Reaction

% change · around the report
−6%−3%0+3%Apr 30May 1report 4:16pm ETearnings+0.1%+0.2%
−6%−3%0+3%Apr 30May 1earnings+0.1%+0.2%
META +0.2%S&P 500 +0.1%
−6%−3%0+3%Apr 30May 1report 4:16pm ETearnings+0.1%+0.2%
−6%−3%0+3%Apr 30May 1earnings+0.1%+0.2%
META +0.2%NASDAQ +0.1%
−8%−4%0+4%Apr 29May 8report 4:16pm ETearnings+1.3%+4.0%
−8%−4%0+4%Apr 29May 8earnings+1.3%+4.0%
META +4.0%S&P 500 +1.3%
−8%−4%0+4%Apr 29May 8report 4:16pm ETearnings+1.7%+4.0%
−8%−4%0+4%Apr 29May 8earnings+1.7%+4.0%
META +4.0%NASDAQ +1.7%
+4.23%
Day of report
+4.34%
Next session
+4.51%
One week
+16.54%
30 days

S&P 500 over the same 30 days: +6.74%.

Did META Beat Earnings? Q1 2025 Results

Meta Platforms delivered a strong first quarter, posting revenue of $42.31 billion, up 16.1% year over year, and diluted EPS of $6.43, which came in 23.11% above the $5.22 consensus estimate and reflected a 37% gain from the prior year period. The primary engine behind the beat was Meta's advertising business, which generated $41.39 billion in ad revenue as both impression volume and pricing moved higher, while Family daily active people climbed to 3.43 billion. Operating margin expanded to 41% from 38% a year ago, even as research and development spending accelerated to $12.15 billion to fund the company's intensifying AI push, with CEO Mark Zuckerberg noting that Meta AI has reached nearly 1 billion monthly active users. Looking ahead, Meta guided Q2 2025 revenue of $42.50 billion to $45.50 billion and raised its full-year capital expenditure outlook to $64.00 billion to $72.00 billion, though a European Commission ruling against its subscription-based ad model introduces a regulatory overhang that could weigh on European revenue as early as Q3 2025.

Key Takeaways
  • Ad impressions increased 5% year-over-year
  • Average price per ad increased 10% year-over-year
  • Family daily active people grew 6% YoY to 3.43 billion
  • Revenue on a constant currency basis increased 19% YoY
  • Operating margin expanded to 41% from 38% YoY

“We've had a strong start to an important year, our community continues to grow and our business is performing very well.”

Meta CEO, on the earnings call

Forward Guidance & Outlook

Meta expects Q2 2025 total revenue of $42.5-45.5 billion, with foreign currency providing an approximately 1% tailwind to YoY growth. Full-year 2025 total expenses are now expected to be $113-118 billion, lowered from $114-119 billion. Capital expenditures guidance was raised to $64-72 billion from $60-65 billion, reflecting additional data center investments for AI and higher infrastructure hardware costs. The full-year 2025 tax rate is expected to be 12-15%. The company flagged a significant regulatory risk from the European Commission's DMA ruling against its subscription-for-no-ads model, which could materially impact European business and revenue as early as Q3 2025.

META YoY Financials

Q1 2025 vs Q1 2024 · SEC filings Q1 2024 Q1 2025
$0$20.0B$40.0B$36.5B$42.3BRevenue$29.8B$34.7BGross Profit$13.8B$17.6BOperating Income$12.4B$16.6BNet Income
$0$20.0B$40.0BRevenueGross ProfitOperating IncomeNet Income

META Revenue by Segment

Family of Apps$41.9B
Advertising$41.4B
Reality Labs$412.0M

Figures from SEC filings and company reports. Not investment advice.